Off-Chain Governance

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Off-Chain Governance

What is Off-Chain Governance?

Off-chain governance is a sort of blockchain governance where choices are made off-chain, far from the blockchain’s core code. Stakeholders in an off-chain governance network collaborate in a number of ways in an effort to compete for power. On public blockchains, discussions on social media, online forums, conferences, and other events are some common instances of off-chain governance practices.


Off-chain governance has many similarities to conventional politics. Through a series of cooperative games where they try to convince everyone else to support their cause, different interest groups try to seize control of the system. These groups don’t follow any rules that bind them to certain behaviors; instead, they decide what is in their best interests in light of the known preferences of the other stakeholders.

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